Loading...
HomeMy WebLinkAbout90-36 - ADMIN Resolution - City Council - 1990/03/27RESOLUTION NO. 90-36 RESOLUTION APPROVING ISSUANCE OF TAX INCREMENT REVENUE BONDS BY SAINT LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY AND AUTHORIZING AMENDMENT OF TAX INCREMENT AGREEMENT IN CONNECTION THEREWITH WHEREAS, by Resolution No. 88-134 adopted September 19, 1988, the City Council of the City of Saint Louis Park, Minnesota (the "City") created the Saint Louis Park Economic Development Authority ("EDA"); and WHEREAS, the City granted to the EDA various economic development powers and the City reserved the right to approve before their issuance all bonds or obligations proposed to be issued by the EDA; and WHEREAS, the EDA has given preliminary approval to the issuance of tax increment revenue bonds (the "Bonds") in the approximate principal amount of $10,000,000 the proceeds of which are to be applied to the payment of public redevelopment costs of the Excelsior Boulevard and Oak Park Village Redevelopment Project areas; and WHEREAS, the City and the Housing and Redevelopment Authority of St. Louis Park (the "HRA") entered into a Tax Increment Agreement (the "Pledge Agreement") dated January 26, 1976 pursuant to which the HRA pledged to the City tax increment from the Oak Park Village Redevelopment Project to pay certain general obligation bonds of the City; and WHEREAS, the EDA has succeeded to the HRA's right, title and interest in and to the Pledge Agreement; and WHEREAS, the EDA and the City desire to amend the Pledge Agreement to provide for the EDA's tax increment revenue bonds herein approved; NOW, THEREFORE BE IT RESOLVED by the City Council of the City of St. Louis Park, Minnesota: 1. The City Council hereby approves the issuance by the EDA of tax increment revenue bonds in the principal amount of up to $10,000,000, the proceeds of which are to be applied to the payment of public redevelopment costs of the Excelsior Boulevard and Oak Park Village Redevelopment Project areas. 2. The City Council hereby authorizes the execution of the Amendment to Tax Increment Agreement substantially in the form attached hereto. Adopted by the City Council March 27, 1990 Reviewed for administration: W /off.,4,� Approved as to form and execution: ate- Y/11-17,14() City Manager AfTdAttorney (EXHIBIT A, RESOLUTION 90-36) IrlAR,-;, 16 .'90 14:51 HOLIES & CRAVEN 2. A new paragraph (6) is added to read as follows: (6) Upon receipt of the tax increment from the Director of Property Taxation, after setting aside in the debt service account of the City so much tax increment as is equal to principal and interest on the City's general obligation bonds issued in aid of the project, there shall be paid to the Authority to be deposited in the debt service account of the Authority relating to its Tax Increment Revenue Bonds, Series 1990, so much of the tax increment revenues as are needed to pay principal and interest on such revenue bonds. Any remaining tax increment revenues shall be applied in accordance with this Agreement and applicable law. IN WITNESS THEREOF, The parties hereto have caused this agreement to be executed the day and year first above written. CITY OF ST. LOUIS PARK By Attest: Mayor City Clerk (CITY SEAL) And City Manager ZOO ("1S3V 5y) y;g 05 ST. LOUIS PARK ECONOMIC DEVELOPMENT AUTHORITY By President And Executive Director P.4 r `MAR, 16 '90 14:50 HOL LIES- & (RAVEN Exliibit A (RESOLUTION 90-36) AMENDMENT TO TAX INCREMENT AGREEMENT P.3 THIS AGREEMENT, Made and entered into this day of March, 1990, by and between the City of St. Louis Park, Minnesota (the "City"), a Municipal Corporation organized and existing under and by virture of the Laws of the State of Minnesota, and the St. Louis Park Economic Development Agency (the "Authority"), a political subdivision formed and existing under the Laws of the United States of America and the State of Minnesota. WITNESSETH: WHEREAS, the City and the Housing and Redevelopment Authority of St. Louis Park (the "HRA") entered into a Tax Increment Agreement (the "Pledge . Agreement") dated January 26, 1976, pursuant to which the City agreed to issue certain bonds to finance public redevelopment costs of the Oak Park Village Project (the "Project"), a redevelopment project established in accordance with Minnesota Statutes, Sections 462.411 et sg. and pursuant to which the HRA pledged to the payment of such bonds, tax increment generated by the Project; and WHEREAS, the Authority has succeeded to the rights of the HRA with respect to the Project, and the Authority proposes to issue tax increment revenue bonds in the principal amount of up to S10,000,000 to finance additional costs of the Project; and WHEREAS, the Authority and the City desire to amend the Pledge Agreement to expressly pledge tax increment thereunder to the Authority's Tax Increment Revenue Bonds, Series 1990 to be issued in the approximate principal amount of up to S10,000,000. NOW, THEREFORE, the City and the Authority mutually covenant and agree as follows: The Pledge Agreement is hereby amended as follows: 1. Paragraph (1) is amended in its entirety to read as follows: (1) That the St. Louis Park Economic Development Authority hereby expressly pledges that any and all "tax increment" payments made to the St. Louis Park Economic Development Authority by the Hennepin County Director of Property Taxation covering the redevelopment project described in the attached exhibit shall be pledged and assigned to -the City of St. Louis Park, Minnesota, for the purpose of paying any and all bonds of the City of St. Louis Park or the St. Louis Park Economic Development Authority which may hereafter be issued by the City of St. Louis Park or the St. Louis Park Economic Development Authority for the financing of the project described in said exhibit.